A recent survey conducted by MDRi highlights diverging trends in medical insurance between Hong Kong and Singapore, driven by rising healthcare costs and evolving financial priorities.
The study, which surveyed 1,000 respondents across the two financial hubs, reveals that while medical insurance remains a key concern for residents in both markets, notable differences exist in coverage levels and motivations for purchasing new policies.
Healthcare spending is set to increase in both regions, particularly among the middle-income segment. In Singapore, 31% of middle-income respondents plan to raise their health budgets in 2025, compared to 26% in Hong Kong. Across all income groups, 21% of Hong Kong respondents and 23% of Singaporeans intend to allocate more funds to health-related expenses.
The survey finds that Singaporeans generally enjoy higher levels of medical insurance coverage compared to their Hong Kong counterparts. While 90% of Singaporeans have some form of medical insurance, only 81% of Hong Kong respondents report the same. Notably, 49% of Singapore residents hold personal medical insurance policies, compared to just 36% in Hong Kong.
A stark difference is observed in the uninsured population – 10% in Singapore versus 19% in Hong Kong.
High-net-worth individuals (HNWIs) in Hong Kong are expected to drive a significant share of new insurance purchases in 2025. Nearly half (48%) of HNWIs in Hong Kong plan to acquire new medical insurance policies, compared to just 30% in Singapore.
Source: MDRi
The primary reasons for purchasing medical insurance differ between the two markets. In Hong Kong, 44% of respondents cited addressing coverage gaps as a key motivation, while 36% pointed to rising medical expenses. Meanwhile, 43% of Singaporeans prioritize financial risk mitigation, followed by a focus on expanding coverage options (39%).
However, cost remains the most significant deterrent in both regions. In Hong Kong, 62% of respondents indicated that high insurance premiums prevent them from securing coverage, compared to 52% in Singapore.
The report suggests a dual approach for insurers seeking to expand in both markets. In Hong Kong, insurers are advised to target the uninsured population and HNWIs looking for comprehensive policies. In Singapore, where coverage is already widespread, companies may need to focus on cost-effective solutions and value-added services to attract new customers.
“Insurance firms must recognize the distinct landscapes of Hong Kong and Singapore. In Hong Kong, the opportunity lies in catering to an eager market looking for new insurance options. Meanwhile, Singapore's focus should be on providing diverse coverage solutions that effectively mitigate financial risks and address the concerns of rising medical expenses,” said Simon Tye, CEO of MDRi.
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